(A) If the city installs utility facilities which benefit property which lies outside the corporate limits, that area and the allocable costs shall be included in the original public hearing for the improvement. The city may attempt to negotiate a contract with the property owner of the property lying outside the city which will provide for payment to the city on the same basis as if the property were within the city and to be assessed for the improvement as a prepayment upon completion of the project. If such a contract cannot be executed, the city will assume the temporary responsibility for payment of the cost allocable to the property lying outside the city limits. In that event the original principal amount of the assessment, if it had been assessed, plus accumulated interest, shall be increased annually by a percentage to be determined by Council up to a maximum of 15 years for which no payment is made. At the time of annexation of the property to the city, a subsequent public hearing may be held for that property and assessment roll prepared, adopted and certified to the County Auditor, payable at the same rate and terms except for the total amount, as were applicable to other property owners included in the original assessment. The city shall reserve the right to delay the assessment of benefit for facilities previously installed, and to make such assessment at the same time it causes to be constructed other public improvements on the property following its annexation. When property lies outside the city limits, no physical connection to the city's utility or drainage system will be permitted until a utility agreement and contract, including satisfaction of costs or assessments, is executed.
(B) Upon adoption of an assessment for an improvement, the City Council may establish an assessment against undeveloped property as being in a deferred principal payment status. Such status is established by deferring the collection of the principal of that assessment until development of the property occurs or until the assessment is otherwise payable. The city shall assess the annual interest on the unpaid principal balance at the rate established in the resolution adopting the assessment for the improvement and such interest shall be certified annually for collection. Except as hereinafter provided, such deferred principal payment status shall not extend beyond the date when certification of the final assessment installment to the County Auditor is to occur as established in the resolution adopting the assessment for the improvement.
(1) After development is deemed to have occurred as to property which has an assessment in deferred principal payment status, the city shall, by certified mail, notify the property owner(s) thereof of the date of the certification of the installment payable in the next year and of the provisions of this division (1) and of divisions (B)(4) and (B)(6) of this section. Not less than 30 days prior to certification of the installment payable in the next year on such assessment, the property owner(s) may submit a written request for the adoption of a principal and interest payback schedule as provided for in division (B)(4) of this section. If no written request is received within the above time period, the unpaid principal balance shall be payable in equal annual principal installments extending over the number of years remaining in the original assessment period. If the original assessment period has expired, the entire unpaid principal balance and interest shall be certified for collection in the next and final installment.
(2) Not less than 60 days prior to certification of the final installment of an assessment, the owner(s) of the property whose assessment is in deferred principal payment status shall be notified by certified mail of the date of the certification of the final installment and shall be notified of the provisions of this division and of divisions (B)(3), (B)(4), and (B)(6) of this section. Not less than 30 days prior to certification of the final installment of such assessment, the property owner(s) may submit a written request that the deferred principal payment status be extended pursuant to division (B)(3) of this section or that the city adopt a principal and interest payback schedule for the assessment as provided in division (B)(4) of this section. If no written request is received within the above time period, the entire unpaid principal balance and interest shall be certified for collection in that final installment.
(3) If the owner(s) of property which has an assessment in deferred principal payment status, so requests, the City Council may extend and continue the deferred principal payment status for no more than an additional five years at the original assessment interest rate, at which time, subject to the overall maximum limitations of M.S. § 429.061(2), the owner(s) may again request a further extension.
(4) If an owner(s) of property which has an assessment in deferred principal payment status so requests, the City Council may adopt a principal and interest payback schedule at the original assessment interest rate for a period no longer than the original assessment period.
(5) In the event tax forfeited land is repurchased pursuant to M.S. § 282.241, any special assessment that would have had a deferred principal payment status terminate between the time of forfeiture and the date of repurchase shall have such status extended to the assessment certification date of the year of repurchase unless such repurchase is made within 60 days of certification, in which case the status shall be extended to the certification date of the following year.
(6) This division (B) is subject to the maximum assessment period set forth in M.S. § 429.061(2).
(Ord. 754, eff. 4-23-90)
(C) The city shall reserve the right to delete land within the assessable area from the assessment rolls if, in the opinion of the city, the land cannot be developed and/or the utility system does not provide immediate benefit. No development of that property shall be permitted nor shall any physical connection to the city's utility or drainage facilities be made by any development on that property unless and until an assessment (or connection fee) is adopted and certified for collection. The city will assume the temporary responsibility for payment of the cost allocable to the property. The original principal amount of the assessment, if it had been assessed, plus accumulated interest, shall be increased annually by a percentage to be determined by Council up to a maximum of 15 years for which no payment is made. A subsequent public hearing may be held for that property and an assessment roll prepared, same rate and terms, except for the total amount, as were applicable to other property owners included in the original assessment.
(D) For purposes of this division, development shall be deemed to have occurred as follows:
(1) At the time a final plat is recorded in the office of the Nobles County Recorder following approval by the city pursuant to city code, § 154.23, all land included in the plat shall be deemed developed, except those lots or blocks thereof which by authority of a variance to § 154.40 of the city code are not to be improved or constructed upon until a later date.
(2) At the time a subdivider makes and installs the improvements required for issuance of a building permit on such lots and blocks allowed to be temporarily unimproved by variance from § 154.40, those lots and blocks shall be deemed developed.
(3) At the time a building permit is issued, any land included in or used in connection with the site plan approved when the permit was issued shall be deemed developed, together with any land rendered undevelopable because of that site plan.
(4) At the time a building permit is issued for a parcel of land consisting of less than one acre, that parcel of land shall be deemed developed if issuance of the permit:
(a) Follows approval by the city of a minor subdivision pursuant to § 154.40 for that parcel of land, or for a parcel of land of which it is a part, or
(b) Follows conveyance of that parcel of land to the applicant for the permit.
(Ord. 658, eff. 6-28-82; Am. Ord. 726, passed 8-22-88; Am. Ord. 754, passed 4-23-90)